Crown Crafts, Inc. (NASDAQ:CRWS) Feb 21, 2017 Investment Analysts: Chuying Wang Songlin Li
Agenda Company Overview Macroeconomic Analysis Industry Overview Financial Analysis Financial projection Valuation Technical Analysis Recommendation
Crown Crafts Infant Products, Inc. Company Overview Crown Crafts, Inc Crown Crafts Infant Products, Inc. Hamco, Inc. Small textile and fabrics manufacturer 100 million retail supplier Textile manufacutrer Diversified home products supplier.
Company Overview Sales Channel Licensed Products Product Sourcing Major customers are Wal-Mart (36%) and Toys R Us (25%) Sales Channel 62% of sales in FY 2016 come from licensed brands, which included 46% of sales from Disney. 38% come from company’s own brand, primarily NoJo and Neat Solutions Licensed Products Produced by foreign and domestic manufacturer, with the largest concentration in China Product Sourcing Source: FY 2016 10-K Form Business Description.
MacroEconomics Source: IBIS World http://clients1.ibisworld.com/reports/us/bed/default.aspx?bedid=93
Industry Overview Textile - Apparel Clothing Industry Source: IBIS World http://clients1.ibisworld.com/reports/us/bed/default.aspx?bedid=93
Industry Overview Consumer Goods Textile - Apparel Clothing Industry Source: IBIS World http://clients1.ibisworld.com/reports/us/bed/default.aspx?bedid=93
Financial Analysis Source: Capital IQ
Financial Analysis
Financial Analysis
Financial Analysis Source: Excel Calculation
My Concern Is CASH Financial Analysis Source: http://finance.yahoo.com/quote/CRWS/financials?p=CRWS
Financial Analysis Velvet bedspreads became its leader niche Move in Bed comforters market after crisis in 1983 Disney and baby clothing 1967 1970 1980 1995 Add Jacquard woven bedspread New cotton yarns, designs, entered into luxury market, help company Source: International Directory of Company Histories, Vol.16 ST. James Press, 1997, History of Crown Crafts, Inc.
Financial Forecasting
Financial Forecasting
Financial Forecasting-----Balance sheet
Financial Valuation---DCF
Financial Valuation---Sensitivity Analysis
Financial Valuation---Comparable Analysis Source: Capital IQ
Tech Analysis Source: Yahoo Finance Charts Crown Crafts
Tech Analysis Source: http://seekingalpha.com/symbol/CRWS/chart
Final Recommendation SELL 1000 shares at market SELL